{"id":2111,"date":"2023-10-20T12:29:51","date_gmt":"2023-10-20T12:29:51","guid":{"rendered":"https:\/\/emicert.com\/?p=2111"},"modified":"2023-10-20T12:39:39","modified_gmt":"2023-10-20T12:39:39","slug":"exploring-the-fit-for-55-era-a-sea-change-in-the-shipping-industry","status":"publish","type":"post","link":"https:\/\/emicert.com\/exploring-the-fit-for-55-era-a-sea-change-in-the-shipping-industry\/","title":{"rendered":"Exploring the \u201cFit for 55\u201d era: A sea change in the shipping industry"},"content":{"rendered":"\t\t<div data-elementor-type=\"wp-post\" data-elementor-id=\"2111\" class=\"elementor elementor-2111\" data-elementor-post-type=\"post\">\n\t\t\t\t\t\t<section class=\"elementor-section elementor-top-section elementor-element elementor-element-2a1e6d7 elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"2a1e6d7\" data-element_type=\"section\" data-settings=\"{&quot;jet_parallax_layout_list&quot;:[]}\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t<div class=\"elementor-column elementor-col-100 elementor-top-column elementor-element elementor-element-58b90a4\" data-id=\"58b90a4\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t<div class=\"elementor-element elementor-element-707ed28 elementor-widget elementor-widget-text-editor\" data-id=\"707ed28\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t<style>\/*! elementor - v3.20.0 - 20-03-2024 *\/\n.elementor-widget-text-editor.elementor-drop-cap-view-stacked .elementor-drop-cap{background-color:#69727d;color:#fff}.elementor-widget-text-editor.elementor-drop-cap-view-framed .elementor-drop-cap{color:#69727d;border:3px solid;background-color:transparent}.elementor-widget-text-editor:not(.elementor-drop-cap-view-default) .elementor-drop-cap{margin-top:8px}.elementor-widget-text-editor:not(.elementor-drop-cap-view-default) .elementor-drop-cap-letter{width:1em;height:1em}.elementor-widget-text-editor .elementor-drop-cap{float:left;text-align:center;line-height:1;font-size:50px}.elementor-widget-text-editor .elementor-drop-cap-letter{display:inline-block}<\/style>\t\t\t\t<p><!-- wp:paragraph --><\/p><p>The European Union\u2019s newest legislative package, the \u201cFit for 55\u201d bundle, has set a new course for the shipping industry. These robust laws, adopted under the EU Green Deal, aim to cut CO2 emissions significantly, and the shipping industry will play a pivotal role.<br \/><br \/><\/p><h3><span style=\"color: #12882d;\"><strong>The Anchor: EU ETS<\/strong><\/span><\/h3><p>The EU Emissions Trading System (EU ETS) is one of the main pillars of this change, standing as the largest carbon market and the pioneering emissions trading system. It operates on a \u201ccap-and-trade\u201d principle, limiting greenhouse gas (GHG) emissions strictly while allowing companies to buy and sell emission allowances.<\/p><p>Each participating company receives a specific number of allowances. If a company\u2019s emissions exceed its allowances, it must curb its carbon output or purchase additional allowances. Conversely, if a company has a surplus of allowances, it can sell them on the market, incentivizing businesses to reduce emissions.<br \/><br \/><\/p><h3><span style=\"color: #12882d;\"><strong>The tide turns for the shipping industry<\/strong><\/span><\/h3><p>The EU ETS revisions, agreed upon in December 2022, include the shipping industry progressively, with a phasing-in period from 2024 to 2027. This decision signifies a sea change for shipping companies, compelling them to surrender allowances based on their verified emissions starting in 2025.<\/p><p>Moreover, this revised scope will be broadened in 2026 to include methane (CH4) and nitrous oxide (N2O) emissions, and by 2027, offshore vessels over 5000GT will be included. This expansion emphasizes the need for shipping companies to revisit their emissions strategies and adjust their sails accordingly.<br \/><br \/><\/p><h3><span style=\"color: #12882d;\"><strong>Steering through the ETS waves<\/strong><\/span><\/h3><p>Navigating through the ETS waves isn\u2019t just about compliance but also effectively managing resources. For instance, consider a ship that emits 3,000 tons of CO2 on a trip from a European to a non-European port in 2024. The company must pay for allowances only for half of these emissions (i.e., 1,500 tons) because the voyage partially occurred outside of European borders. At \u20ac50\/ton, this cost translates to \u20ac15,000 for this single voyage.<br \/><br \/><\/p><h3><span style=\"color: #12882d;\"><strong>FuelEU maritime regulation: A new course<\/strong><\/span><\/h3><p>The \u201cFit for 55\u201d package also introduces the Fuel EU Maritime Regulation, set to come into effect in 2025. This regulation will force ship operators to comply with the maximum limits of the GHG intensity of the energy used onboard. It\u2019s a significant move that pushes shipping companies to rethink their energy consumption and optimize their operations for better environmental compliance.<br \/><br \/><\/p><h3><span style=\"color: #12882d;\"><strong>Taxation on bunkers: A matter of balance<\/strong><\/span><\/h3><p>The European Commission\u2019s proposal for bunker taxation seeks to align the energy taxation directive (ETD) with the EU\u2019s climate targets. This revision removes the tax exemption for conventional fuels from EU ports from 2023 onwards, nudging the shipping industry towards greener alternatives.<br \/><br \/><\/p><h3><span style=\"color: #12882d;\"><strong>Alternative fuels infrastructure regulation: Charting a greener path<\/strong><\/span><\/h3><p>The revised Alternative Fuels Infrastructure Regulation sets new requirements for port facilities and introduces the TEN-T infrastructure plan. These changes aim to facilitate the adoption of green fuels and shore-side electricity, further advancing the industry\u2019s green transition.<\/p><p>In the face of these sweeping changes, the maritime community focuses on the imminent finalization of these regulations. In harmony with the IMO regulation on GHG strategy, the ultimate goal is to encourage the shipping industry\u2019s decarbonization transition by 2050. The \u201cFit for 55\u201d package isn\u2019t just about compliance; it\u2019s a call to action for the shipping industry to chart a sustainable course for the future.<\/p><p><!-- \/wp:paragraph --><\/p>\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<\/div>\n\t\t","protected":false},"excerpt":{"rendered":"<p>The European Union\u2019s newest legislative package, the \u201cFit for 55\u201d bundle, has set a new course for the shipping industry. These robust laws, adopted under the EU Green Deal, aim to cut CO2 emissions significantly, and the shipping industry will play a pivotal role. The Anchor: EU ETS The EU Emissions Trading System (EU ETS) [&hellip;]<\/p>\n","protected":false},"author":2,"featured_media":2120,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[10],"tags":[],"_links":{"self":[{"href":"https:\/\/emicert.com\/wp-json\/wp\/v2\/posts\/2111"}],"collection":[{"href":"https:\/\/emicert.com\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/emicert.com\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/emicert.com\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/emicert.com\/wp-json\/wp\/v2\/comments?post=2111"}],"version-history":[{"count":0,"href":"https:\/\/emicert.com\/wp-json\/wp\/v2\/posts\/2111\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/emicert.com\/wp-json\/wp\/v2\/media\/2120"}],"wp:attachment":[{"href":"https:\/\/emicert.com\/wp-json\/wp\/v2\/media?parent=2111"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/emicert.com\/wp-json\/wp\/v2\/categories?post=2111"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/emicert.com\/wp-json\/wp\/v2\/tags?post=2111"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}